SHANGHAI, Mar 14 (SMM) - The refined nickel supply was still insufficient for the demand last week.

The nickel prices stood high, and the downstream purchase volume was low. There were hardly any spot transactions on extremely high prices.

The nickel-hydrogen battery plants have not made any purchase despite the low stocks, and they are expected to reduce the production. The shortage of nickel caused the tight supply of nickel sulphate.

If the output of high-grade nickel matte can increase substantially, the tight supply of new energy products and nickel briquette will be alleviated. However, the current production of high-grade nickel matte has not yet met expectations.

SHFE and LME have both released a series of bearish policies, which is conducive to the nickel prices returning to the fundamentals. In this case, the most traded SHFE nickel contract is expected to keep pulling back this week. SHFE nickel prices are expected to fluctuate between 190,000-220,000 yuan/mt this week, and LME nickel prices are expected to move between $35,000-50,000/mt.